Over the past week, the CRO token has been for Crypto.com it has decreased by nearly 45%. This was due to fears that the Singapore-based cryptocurrency exchange would be the next to face a liquidity crunch after the FTX bankruptcy.
In fact, the daily exchange volume has dropped from its highs of around $4 billion last year to around $284 million last October. Withdrawals continue to increase as users and investors remove their funds from the platform.
However, Crypto.com CEO Chris Marsalek stepped in to reassure investors, saying:
“Expect a tough cryptocurrency winter, but Crypto.com isn’t going anywhere.”
Why Crypto.com Is Safe, Words Of The Company’s CEO
After concerns grew about the potential collapse of Crypto.com, Marszalek was called in to intervene.
In fact, in an interview yesterday, the CEO of Crypto.com confirmed that the exchange has a strong balance sheet and mentioned that exposure to FTP extension It was limited to 10 million dollars.
Specifically added:
“We have recovered $990 million from FTX, and inter-exchange fund flows are a necessary part of the business.”
So, according to Marsalek, you don’t have to worry, given the fact that that is croCrypto.com’s token, was never used as collateral for a loan, unlike the relationship between FTX and Alameda and FTX’s token, FTT.
Moreover, Crypto.com is relieving alarms over the weekend about a massive transfer of Ethereum On a rival company, the spotlight has been shed on a potential default, with a rush of withdrawals.
The CEO of cryptocurrency exchange Crypto.com said the company is ready to show there is no problem ahead: the balance sheet is strong and that no risk has been taken.
Concerns about the CRO token: Here’s what happened
Some of the market’s mistrust of Crypto.com may stem from the recent incident of 400 million dollars The ETH was accidentally sent to an account on an exchange called Gate.io.
Not only that, the Wall Street Journal reported massive withdrawals from Crypto.com over the weekend. With the exchange’s CRO token crash, there was speculation that users were dumping the token and/or that the company was selling tokens on the market for crypto or cash to fulfill withdrawal requests.
CEO Chris Marsalek answered some clarifying questions on YouTube via livestream regarding the panic that spread yesterday on Twitter over the faltering of the stock exchange, which is one of the top ten in the world in terms of trading volume.
Marsalek said:
We will prove them wrong about our actions. We will continue to work as we have always done and be the safe place for everyone to access cryptocurrency.”
In addition, the reserve audit report will be released within weeks, the company’s CEO confirmed.
Marsalik clarified that all addresses for these scale transfers are whitelisted and approved. The destination address was Gate.io’s corporate account for Crypto.com, and the money was returned after Gate.io increased the company’s account’s daily transfer limit.
In the interview, Marsaclid asserts:
The money was not in danger of being lost. The system will not allow us to send money to a place where it cannot be recovered. Their allegations are unfounded.”
Specifically, Marsalek is speaking to detractors of Crypto.com, saying he can’t wait to prove them wrong not just with words, but more importantly with actions.
Marsalek also explained that Crypto.com has 70 million individual customers worldwide and generated $1 billion in revenue in 2021 and 2022.
Also, it is important to note that the Crypto.com panic came at a time when the cryptocurrency market was already in equilibrium, with the FTX crash last week. In fact, FTX has gone from being one of the largest exchanges in the world to being one of the largest exchanges in the world declare bankruptcy.
Crypto.com: Some interesting things about the giant global stock exchange
Crypto.com has a certain story behind it. In fact, before the platform was among the top ten exchanges globally, albeit smaller than FTX and market leader Binance, the platform made headlines in 2021.
Specifically, after registration A deal worth $700 million To rebrand Los Angeles’ Staples Center as Crypto.com Arena. In fact, the home of the Lakers changed its name in favor of Crypto.com, with the most lucrative “naming rights” deal in American sports history.
Founded in 2016, the Singaporean cryptocurrency company has always been a huge investor in sports, especially in recent years. In fact, Crypto.com has signed deals with Formula 1, UFC, Major League Soccer, Paris St.
All this has contributed to increasing the prestige of one of the most famous and respected stock exchanges in the world which, as the CEO has pointed out, certainly cannot now collapse despite the market’s difficulties.
Is Marsalik really right? Will Crypto.com survive the harsh crypto winter unscathed?
This is what investors are especially hoping for, as Crypto.com, from its founding until today, has always been committed to making cryptocurrencies more accessible to everyone. In fact, its goal is to increase the use and dissemination of digital assets in people’s daily lives.
This is why we partnered with Visa, the global traditional finance giant, through which we created crypto debit cards that allow you to pay in cryptocurrencies and convert coins into traditional currencies.
Moreover, despite recent concerns, Crypto.com is one of the most secure, reliable and robust platforms on the market, with around ten million users worldwide.